BHARTIYA VICHAR SADHANA FOUNDATION, PUNE V. CIT, (EXEMPTION), PUNE, PUNE

ITA 646/PUN/2024

• Counselvise Citation: [2024] 100 COUNSELVISE.COM (IT) 1389 (ITAT-PUNE)
• Duration Of Justice: 2 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-06-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 17-06-2024
• Assessment Year: misc
• Appeal Filed On: 31-03-2024
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: BHUVNESH KANKANI
• Keywords: Principle of natural justice

Judgement Text

आयकर अपीलीय अधिकरण “ए” न्यायपीठ पुणे में । IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, PUNE BEFORE SHRI R.K. PANDA, VICE PRESIDENT AND MS. ASTHA CHANDRA, JUDICIAL MEMBER आयकर अपील सं. / ITA No.646/PUN/2024 Bharatiya Vichar Sadhana Foundation, 1214/15 Sadashiv Peth, Bhave School, Pune City, Maharashtra-411030 PAN : AAJCB7469G Vs. CIT, Exemptions, Pune अपीलार्थी / Appellant प्रत्यर्थी / Respondent Assessee by : Shri Bhuvnesh Kankani Department by : Shri Pankaj Kumar Date of hearing : 18-06-2024 Date of Pronouncement : 27-06-2024 आदेश / ORDER PER ASTHA CHANDRA, JM : The appeal filed by the assessee is directed against the order dated 11.03.2024 of the Ld. Commissioner of Income Tax (Exemption), Pune [“CIT(E)”] whereby he rejected the application filed by the assessee on 28.09.2023 in Form No. 10AB u/s 12A(1)(ac)(iii) of the Income Tax Act, 1961 (the “Act”) and cancelled the provisional registration granted on 06.04.2022 u/s 12AB r.w.s. 12A(1)(ac)(vi) of the Act. 2. The assessee has raised the following grounds:- “1. On facts and circumstances prevailing in the case and as per provisions & scheme of the Income-tax Act, 1961 (‘The Act’) it be kindly held that the order passed by the Commissioner of Income Tax- Exemptions [‘CIT(E)’]. Pune, rejecting the Appellants application for seeking registration u/s 12AB of the Act is against the provisions of the Act. Accordingly, the order passed by the Ld. CIT(E) be held as not tenable in law and be set aside directing the Ld. CIT(E) to grant registration. The appellant be granted just and proper relief in this respect. 2. On facts and circumstances prevailing in the case and as per provisions & scheme of the Act it be kindly held that Ld. CIT(E) erred in passing the rejecting order by ignoring the Appellants adjournment 2 ITA No.646/PUN/2024 application, Thus, the rejection order so passed be kindly held to be ultra vires the principle of Natural Justice. Accordingly, the order passed by the Ld. CIT(E) be held as not tenable in law. The appellant be granted just and proper relief in this respect. 3. Briefly stated, on receipt of the impugned application moved by the assessee, the Ld. CIT(E) issued notice through ITBA portal on 15.11.2023 which was duly served upon the assessee through e-portal and e-mail requiring the assessee to upload information/clarification as detailed in paras 2 (i) to (xv) and seeking explanation as per paras 2 (a) to (h). In case the assessee was engaged in running educational institution(s), the assessee was required to furnish details sought in para 2.1 (i) to (xiii). If the assessee was engaged in running a hospital/nursing home/health care centre, information/details were sought as per paras 2.2 (a) to (e). The assessee was further required to ensure that self certified copy of attachments as per the provisions of Rule 17A(2) of the Income Tax Rules, 1962 as applicable be submitted. It was clarified that above information/details were called for under the provisions of section 12AB(1)(b)(i) of the Act. Compliance was sought by 29.11.2023. 4. The assessee filed its reply containing the requisite details on 28.11.2023, copy of which is available at pages 5-8 of the assessee’s paper book. 5. The Ld. CIT(E) verified the details and documents and noticed certain discrepancies which he communicated to the assessee through notice dated 26.02.2024. The compliance was sought by 04.03.2024. The Ld. CIT(E) took the drastic step of rejecting the assessee’s impugned application and cancelling the provisional registration granted on 06.04.2022 u/s 12AB r.w.s. 12(a)(1)(ac)(vi) of the Act as according to him the assessee did not furnish explanation to the alleged discrepancies. 6. Aggrieved, the assessee is in appeal before the Tribunal and both the grounds relate thereto. 7. The Ld. AR submitted that vide letter dated 01.03.2024 the copy of which is placed at pages 1-2 of the paper book, the assessee sought adjournment of hearing scheduled on 04.03.2024 until 12.03.2024 as the assessee had earnest desire to furnish comprehensive response, but in the 3 ITA No.646/PUN/2024 meantime on 11.03.2024 the Ld. CIT(E) passed the impugned order which is in violation of the principles of natural justice. 8. The Ld. DR supported the order of Ld. CIT(E). 9. We have considered the rival submissions and perused the records. We are of the view that in the interest of justice and fair play the matter be set aside and restored back to the file of Ld. CIT(E) for decision afresh in accordance with law after allowing reasonable opportunity of being heard to the assessee. We order accordingly. 10. In the result, the appeal of the assessee is treated as allowed for statistical purpose. Order pronounced in the open court on 27 th June, 2024. Sd/- Sd/- (R.K. Panda) (Astha Chandra) VICE PRESIDENT JUDICIAL MEMBER पुणे / Pune; दिन ांक / Dated : 27 th June, 2024. रदि आदेश की प्रधिधलधप अग्रेधिि / Copy of the Order forwarded to : 1. अपील र्थी / The Appellant. 2. प्रत्यर्थी / The Respondent. 3. The CIT, Exemption, Pune. 4. The Pr. CIT concerned. 5. दिभ गीय प्रदिदनदि, आयकर अपीलीय अदिकरण, “ए” बेंच, पुणे / DR, ITAT, “A” Bench, Pune. 6. ग र्ड फ़ इल / Guard File. //सत्य दपि प्रदि// True Copy// आिेश नुस र / BY ORDER, िररष्ठ दनजी सदचि / Sr. Private Secretary आयकर अपीलीय अदिकरण ,पुणे / ITAT, Pune